After the terrorist events of September 11, 2001, the FAA began issuing premium third party liability war risk insurance to U.S. air carriers. The Homeland Security Act of 2002 (HSA), Public Law 112-7 and subsequent legislation mandated the expansion of war risk insurance coverage to include hull loss and passenger liability and required continued provision of this insurance.
Update on FAA Premium War Risk Insurance
The Federal Aviation Administration (FAA) Aviation Insurance Program Office currently provides war risk hull loss, and passenger, and third party liability insurance to U.S. air carriers pursuant to the Homeland Security Act of 2002 (as amended recently by Public Law No. 113-164) applicable to only those that held a premium policy as of June 19, 2002. The extension of policies is for the period October 1, 2014 through December 11, 2014.
The FAA is currently not extending any additional premium war risk insurance.